Frequently Asked Questions About Small Business Insurance
Trucking And Transit Insurance FAQ. The business operations in this chapter are among the most heavily regulated in the country. All are subject to multiple types of regulation including municipal, state and federal. The regulations are necessary because potential for severe property damage and/or bodily injury is extremely high.
All carry cargo that if not handled appropriately could have serious consequences to the cargo owner and/or the public at large. Those that carry people must prove that they keep their equipment in good condition and that employees operate in a safe, sober manner.
We wanted to provide a deeper dive into small business insurance to help our readers get a better understand of the commercial insurance policies they want and need with the Trucking And Transit Insurance FAQ.
Read the Trucking And Transit Insurance FAQ to learn what type of commercial insurance coverages are right for your transportation business - including liability, property, workers compensation and other specialty policies.
According to Wikipedia, transit is the, "conveyance of persons or things from one place to another."
Trucking And Transit include - but are not limited to - the following types of businesses:
You can reference the Insurance Definitions, Dictionary And Glossary to better understand the commercial insurance policy terms and language used in our Small Business Insurance FAQs.
Following are some suggested commercial policies and coverages applicable for truckers and transportation businesses:
Package policies are the most convenient way to combine two or more coverage parts into a single policy. Package policies may include automobile, but most businesses in this category place their automobile separately from the rest of its coverage. The Businessowners Policy is not an option for businesses within this category.
Types Of Trucking And Transit Package Policies:
Terminals represent the major property exposure for a trucking concern and usually consist of office and dispatch equipment, goods and merchandise of others in transit and garage repair operations.
Time element coverage issues include not only business income for direct damage at the terminal but also the extra expenses needed to support vehicles on the road after a loss. They also include loss of income because of a covered direct damage loss at a major customer or a parts and equipment supplier.
Types Of Property Coverages:
Motor truck cargo legal liability coverage for motor carriers is far and away the single most important inland marine coverage for this industry. However, other property vital to the continued operation of transporters must also be covered and some of that property may be eligible for coverage by one or more of the forms listed below:
Types Of Inland Marine Coverages:
Employee theft of insured property or property of others is the most significant crime exposure for most transit companies. However, computer fraud, extortion and kidnap and ransom coverages should also be considered because of the loss situations that might arise for which they provide coverage.
Motor carrier operations with employees having regular access to clients' premises should consider adding clients' property coverage as well. Fraudulent impersonation coverage is a new coverage that can cover losses due to trickery.
Types Of Crime Coverages:
Surety bonds are sometimes used in place of some inland marine coverages. In other cases they are used because of requirements related to supply contracts, licenses and permits.
Types Of Surety Coverages:
Liability exposures directly involving the transport specialist are covered under the automobile or the protection and indemnity policy. However, there are other employees and exposures that can only be covered by the commercial general liability policy.
Types Of Liability Coverages:
Ambulances are included within this category. Coverage will be needed for the exposures of health care professionals who are responding to the emergency medical needs of individuals they are transporting. The exposures of the individual EMT or other type of health care provider and the named insured operation that is providing the service must be protected.
Types Of Errors And Omissions (E&O) Coverages:
The trucking and transportation industry has some very specific coverages requirements that are best addressed through coverage forms developed specifically for truckers and motor carriers. Other classifications may also need unique endorsements that have been developed.
Types Of Business Auto Coverages:
Employers are required to provide coverage for on-the-job injuries sustained by their employees through a workers compensation policy. The question always arises as to who is an employee. Many transport specialists rely on independent contractors to move the goods for them. This then leads to the next question as to whether or not the independent contractor should be covered under the transport specialist's workers compensation policy.
Types Of Workers Comp Coverages:
All transport specialists should carry considerably higher limits above their primary liability coverage limits. This is because any loss involving a transport vehicle will be expensive. There is also the potential of damage to infrastructure such as bridges and overpasses that can cost millions to repair and result in loss-of-use lawsuits.
Types Of Excess Liability Coverages:
Ferry operators have waterborne exposures that can be covered only by ocean marine coverages. The hull coverage combined with the protection and indemnity coverage will provide protection for on-water exposure but on-land coverage will still be needed.
Types Of Ocean Marine Coverages:
Environmental and pollution liability issues are important areas of concern for any operation performing its own maintenance on premises. Drones are a new technology that is being incorporated in many aspects of transit. It is important to identify if a client is using drone services or owns its own fleet of drones. A thorough review of all exposures and operations performed by the trucker may reveal the need for one or more of the following coverages:
Types Of Specialty Coverages:
There are many commercial insurance policies available for Trucking And Transit. To find out what types of coverage your business needs, speak to a professional insurance broker with experience in insuring trucking and transport businesses.
Learn about the coverages available for specific industires with the Insurance FAQs below: